Intel’s AI Opportunity

In Q2, we began to see real benefits from our accelerating AI opportunity. We believe we are in a unique position to drive the best possible TCO [total cost of ownership] for our customers at every node on the AI continuum.

Our strategy is to democratize AI—scaling it and making it ubiquitous across the full continuum of workloads and usage models.

We are championing an open ecosystem with a full suite of silicon and software IP to drive AI from cloud to enterprise, network, edge and client—across data prep, training and inference in both discrete and integrated solutions. … The surging demand for AI products and services is expanding the pipeline of business engagements for our accelerator products, which includes our Gaudi, Flex and Max product lines.

Our pipeline of opportunities through 2024 is rapidly increasing. … The accelerator pipeline is now well over $1 billion and growing rapidly, about 6X this past quarter. That’s led by, but not exclusively, Gaudi.

That also includes the Max and Flex product lines as well. But the lion’s share of that is Gaudi. Gaudi 2 is shipping volume product today. Gaudi 3 will be the volume product for next year. And then Falcon Shores in ’25. And we’re already working on Falcon Shores 2 for ’26.

So we have a simplified road map as we bring together our GPU and our accelerators into a single offering. … But the progress that we’re making with Gaudi 2, it becomes more generalized with Gaudi 3, the software stack, our one API approach that we’re taking will give customers confidence that they have forward compatibility into Gaudi 3 and Falcon Shores that will just be broadening the flexibility of that software stack.

We’re adding FP8 [8-bit floating point]. We just added PyTorch 2 support. So every step along the way it gets better and broader use cases.

More language models are being supported. More programmability is being supported in the software stack. And we’re building that full solution set as we deliver on the best of GPU and the best of matrix acceleration in the Falcon Shores timeline.

But every step along the way, it just gets better. Every software release gets better. Every hardware release gets better along the way to cover more of the overall accelerator marketplace.